Agricultural Economics, Department of
Cornhusker Economics
Accessibility Remediation
If you are unable to use this item in its current form due to accessibility barriers, you may request remediation through our remediation request form.
Date of this Version
5-31-2023
Document Type
Newsletter Issue
Citation
Cornhusker Economics, May 31, 2023
agecon.unl.edu/cornhuskereconomics
Abstract
Mini futures contracts (or e-mini, since they are traded electronically) were first developed in the late 1990s based on futures contracts that already existed. The main characteristic of mini contracts is that they represent a fraction of standard-size contracts. For example, the first mini contract was launched in 1997 and based on the S&P500 futures contract. The size of the standard futures contract is $250 times the value of the S&P500 index, while the size of the mini futures contract is $50 times the value of the S&P500 index. If the index is at 4,200 points, the total value of the standard contract is $1,050,000 and the total value of the mini contract is $210,000, i.e., the mini contract, in this case, corresponds to 1/5 of the size of the standard contract.
Comments
Copyright © 2023 University of Nebraska-Lincoln